IDB to back Ecuador Growth Agenda 2040 with $7.5 billion

The Inter-American Development Bank (IDB) Group has pledged significant financial backing for Ecuador, committing $7.5 billion over the next five years. This figure could rise to $10.5 billion, contingent on investment conditions and project execution capabilities. The announcement came during IDB Group President Ilan Goldfajn's official visit to Ecuador, coinciding with the launch of a new Country Strategy between Ecuador and the IDB.

The financial package encompasses sovereign financing, operations with the private sector through IDB Invest and BID Lab, and technical assistance for reforms. A key component is the "Ecuador Crece" initiative, which aims to support the national "Agenda de Crecimiento Ecuador 2040" (Ecuador Growth Agenda 2040). This initiative is part of a broader regional program, "LAC Crece," focused on strengthening growth strategies driven by private investment.

"Ecuador Crece" will concentrate its efforts on strategic sectors including energy, mining, agribusiness, manufacturing, tourism, and housing. It will also support initiatives related to regulation, access to finance, logistics infrastructure, human capital development, and security. Projected outcomes include increased access to housing and mortgage financing for 23,800 families, training and certification for 265,000 individuals, and support for approximately 500 small and medium-sized enterprises to enhance their exports.

President Goldfajn stated, "Ecuador has defined a clear agenda to accelerate growth. Our commitment is to accompany that agenda with financing, knowledge, and technical assistance." He added that "Ecuador Crece will be the initiative to help turn the 2040 Agenda into concrete results for Ecuadorian families and businesses." Additionally, the IDB approved a policy-based guarantee of up to $250 million to aid Ecuador's efforts in reducing chronic child malnutrition, aiming to mobilize around $500 million in international markets through a results-based financial instrument.

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Ecuador has defined a clear agenda to accelerate growth. Our commitment is to accompany that agenda with financing, knowledge, and assistance technical. Ecuador Crece will be the initiative to help turn the 2040 Agenda into concrete results for the families and businesses ecuatorianas.